Thursday, July 31, 2014

Rotherham insolvency expert Paul Moorhead says positive signs of recovery indicate that the economy is strengthening for both companies and individuals.

The latest official statistics from the Government's Insolvency Service show that the number of businesses being declared insolvent is down by 15.1 per cent in comparison with the same period last year, while quarterly statistics also show a decrease of 6.9 per cent.

Personal bankruptcy cases have also seen a 15.9 per cent decrease on the same period last year, though the number of people seeking Individual Voluntary Arrangements (IVAs) rose by 20.3 per cent in the last quarter.

Paul, the founder of insolvency practice Moorhead Savage and the 2013 Corporate Insolvency Practitioner of the Year, said: "The overall message is that the situation for companies is getting better and that there is finally some room for optimism in the business community.

"While debt is still a serious problem for many people, many individuals are more confident about the future, as they are entering into long term repayment plans with their creditors rather than simply declaring themselves bankrupt.

"It was not so long ago that people were assuming that the only way to resolve a debt problem was to go down the bankruptcy route but by seeking proper advice and not trying to avoid the issue there is usually a way forward that will satisfy all the interested parties.

"Even now the economy is showing signs of positive growth, the advice remains the same as ever – if you're concerned about debt issues, seek advice and support as soon as possible."